Getting to Know the Non-Chocolate Consumer

WASHINGTON, D.C. — Non-chocolate candy is a consumer favorite during prosperous, inflationary and pandemic times, a new report from the National Confectioners Association (NCA) reveals.

Accounting for about 32 percent of all confectionery (chocolate, candy, gum and mints) sales in the U.S., non-chocolate candy has experienced very strong sales pre- and post-pandemic with a wide and growing fanbase, according to NCA's Getting to Know Candy Consumers 2022. 

The first-of-its-kind report, conducted by 210 Analytics, offers an in-depth analysis of the growing non-chocolate candy market, with insights into consumer perceptions, attitudes and behaviors as the category continues to build. Non-chocolate candy is expected to reach $20 billion in U.S. sales by 2027, according to Euromonitor International.

"Innovation has always been at the heart of the confectionery industry, and it's never been a more exciting time to innovate candy," commented NCA President and CEO John Downs. "There is tremendous opportunity for continued growth in the non-chocolate candy category, which is largely driven by Gen Z and millennial consumers who are seeking out new experiences in the candy aisle. Because of its unique flavors, shapes and colors, and the incredible variety within the category, it is clear that candy is special for everyone."

Key findings of the report include:

Non-Chocolate Candy & Performance

Influenced by inflation, dollar sales increased 13.7 percent, units by 3.1 percent and volume by 2 percent. Sales were driven by more trips and larger baskets. Chewy candy is the sales powerhouse, accounting for more than half of the category's sales yet generating 12.7 percent growth.

Bright Sales Forecast

While current sales and consumption patterns are very similar across incomes, genders, ages, regions and ethnicities, category growth is predominantly driven by Gen Z and millennials. Non-chocolate candy is expected to reach $20 billion in the total market by 2027, including alternative channels, online and vending, according to Euromonitor.

Lifestyle Choice

Consumers think of non-chocolate as being a fun treat, part of celebrations and holidays, and an opportunity for sharing with others. Candy's permissibility is high: 83 percent of Americans believe it is perfectly fine to occasionally have a non-chocolate treat.

Making Seasons Bright

Ninety percent of consumers like to see seasonal colors, flavors, packaging or shapes, and the four big candy holidays represent 61.2 percent of total category sales.

Non-Chocolate Candy Preferences

American-made candy (32 percent) has an edge over imported candy (12 percent) in consumer preferences, though 35 percent say it depends on the candy and the country. Classic fruity flavors draw the top preference at 50 percent, followed by a combination of classic fruity, unique and spicy flavors. Younger shoppers are more likely to prefer unique flavors. In gummies, 46 percent of Americans equally like both sweet and sour flavors, whereas 43 percent prefer sweet. The sour preference is much higher among Gen Z and millennials.

Gift Giving

Aside from sharing during the major candy holidays, seven in 10 consumers gift non-chocolate for special occasions, though only 35 percent do so frequently. Forty percent of Americans say they are more likely to gift chocolate than candy, driven by chocolate's reputation as being the more traditional and premium gift, as well as offering a better selection of giftable options.

Packaging & Pack Sizes

With candy being an occasional treat, consumers believe having resealable (open/close) packaging (47 percent) and different pack size/portion options (36 percent) are very important. Reactions to environmentally friendly packaging are mixed: 49 percent do not consider this in their purchase, whereas 20 percent say it is a purchase priority.

Better-For-You Options

About 10 percent of the population frequently purchase better-for-you candy options, yet nearly three in 10 candy consumers are highly interested in purchasing their favorite candies in all natural, lower-sugar or sugar-free options, with above average purchase interest among younger shoppers.

Non-Chocolate Purchasing Decisions

Candy is bought as a planned purchase/list item (69 percent of consumers) just as often as it is a spontaneous purchase (75 percent). Brand, price and mood dominate the candy purchase decision, with brands being substantially more influential among boomers. Private brands represent a very small part of the non-chocolate candy business at 4.5 percent.

Non-Chocolate Candy Innovation

Consumers like browsing for new candies: 45 percent do so occasionally and 17 percent frequently. They are equally interested in line extensions from familiar brands and entirely new candy brands or items. Limited to just their top pick in innovation, 58 percent of Americans picked new flavors, followed by new textures (16 percent).

Non-Chocolate Candy Channel Choices

Consumers purchase non-chocolate candy across a wide number of channels, led by supercenters and supermarkets. More shoppers purchase candy at value-focused stores, such as discount grocery stores and dollar stores, than club stores, and 15 percent also visit standalone candy stores. The candy aisle (80 percent) is the most typical candy purchase destination, but 58 percent of consumers also purchase non-chocolate candy at checkout and 50 percent from the seasonal aisle. Organization by type (40 percent) or brand (28 percent) are the most popular ways of organizing the candy aisle, according to shoppers.

Getting to Know Candy Consumers is based on a survey of 1,519 consumers conducted in October.

For more information on the report, click here.

The National Confectioners Association is the leading trade organization for the U.S. confectionery industry, which generates $37.5 billion in retail sales each year.